This creates a combined banking group with nearly 28 million customers nationwide, making it the third largest in the UK for current accounts and the fourth largest for mortgages.
Will the TSB brand disappear?
After more than 215 years of appearing on British high streets, the TSB brand is set to be phased out. Santander is reportedly preparing to drop the TSB name and operate the newly combined business solely as Santander UK once the two lenders have been fully integrated.
However, Santander has stated that there will be no immediate changes for customers and no alterations to the TSB brand, accounts, or products for at least 12 months.
What does the takeover mean for your money?
For the time being, Santander and TSB will continue to operate as separate legal and regulated entities. This means that day-to-day banking will remain largely unchanged for customers of both banks.
Current accounts, mortgages and loans
If you hold a current account, mortgage, credit card or personal loan with TSB, you can continue to manage your money exactly as you normally would.
- Your sort code and account number will stay the same.
- Debit and credit cards will continue to work and your PIN will not change.
- Direct Debits and standing orders will still be processed as before.
- Customers can continue using the TSB mobile app, online banking and customer service numbers.
- Interest rates, fees and charges currently applied to your accounts will remain unchanged for now.
Savings and FSCS protection
A crucial detail for savers is that because Santander and TSB are currently maintaining separate banking licences, they retain separate Financial Services Compensation Scheme (FSCS) protection. This means that if you hold significant savings across both banks, your money remains protected up to the full limit with each institution separately. That limit is £120,000 per person, per banking licence. While interest rates on savings accounts are not changing immediately, Santander has confirmed that rates will remain the same for now, though it is always a sensible idea to monitor the market to ensure you are receiving a competitive return on your cash.
Bank branches
While TSB currently operates around 175 branches across the UK, retail bank acquisitions often lead to cost-cutting measures such as branch closures and the consolidation of IT systems down the line. Santander has previously indicated that the takeover is expected to generate over £400 million in pre-tax cost synergies by 2028, though any immediate branch closures specifically linked to the merger have not been announced.
TSB customers must continue to use TSB branches for their in-person banking needs. TSB customers will not be permitted to use Santander branches, and conversely, Santander customers cannot use TSB branches.